Deed tax is calculated on the purchase price of the property, less any assumed mortgages and special assessments and taxes included in the purchase price. The rate of tax is $1.65 for each $500 of purchase price.
Deed tax = Sale amount x .0033
Deed tax is due and payable to Blue Earth County Property and Environmental Resources at the time the deed is being presented for recording.
If you are buying property on a contract for deed and are not receiving the deed now, you do not owe deed tax at this time. You will be required to pay deed tax when you receive the deed for the property.
For questions on deed tax you may contact the Blue Earth County Property and Environmental Resources Department at (507) 304-4251 or visit the Minnesota Department of Revenue website. View the state's deed tax information sheet to learn about exemptions from deed tax and the minimum deed tax.
Use the state's DT1 form to document your claim for an exempt or minimum tax transfer. Use the state's DT2 form to report the deed tax resulting from a change in ownership following a designated transfer. This form is due within 30 days of the ownership change.